Senegal’s National Assembly on Thursday, September 18, has passed a significant tax reform bill, Law No. 17/2025, amending the country’s General Tax Code.
The legislation was approved by an overwhelming majority of 133 votes in favor to 7 against. Introduced by Finance and Budget Minister Cheikh Diba, the reform is part of the broader Economic and Social Recovery Plan (PRES) under Senegal’s Agenda 2050, aiming to strengthen public finances through domestic revenue generation.
Key measures include a 0.5% tax on money transfers (capped at 2,000 CFA per transaction), increased excise duties on alcohol and tobacco, and higher taxes on imported passenger vehicles.
Despite its passage, the reform faced reservations from some lawmakers during the Finance Committee deliberations.
Critics expressed concerns about the potential burden on vulnerable populations and called for more exemptions, protective tax thresholds, and better consultation between public and private sectors. As the reform moves to implementation, the government faces the challenge of demonstrating that these stricter fiscal measures can remain equitable and sustainable while effectively contributing to Senegal’s economic stability.